Required Property Disclosures

For centuries, New York State historically follows the legal doctrine of caveat emptor regarding residential real estate purchases. The Latin phrase caveat emptor translates directly to "buyer beware." If a buyer purchased a home with a failing foundation or a hidden termite infestation, the legal system's traditional response was essentially a dismissive shrug. The responsibility to uncover defects rested entirely on the purchaser. Today, while the overarching philosophy of buyer responsibility remains intact, the state has engineered specific statutory requirements to force transparency at the negotiating table.

Severe termite damage to a wooden foundation. Under historical caveat emptor rules, the financial burden of discovering such hidden structural defects rested entirely on the buyer.
Severe termite damage to a wooden foundation. Under historical caveat emptor rules, the financial burden of discovering such hidden structural defects rested entirely on the buyer.

As a real estate salesperson, your ability to navigate these disclosures protects your clients from staggering liabilities and protects your own license. We will examine exactly how New York mandates transparency through two critical statutes: Article 14 and Section 242.